Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You are going to open a business making custom cabinets. Using the data in the table, provide answers to the questions below. Cabinet Selling Price

You are going to open a business making custom cabinets. Using the data in the table, provide answers to the questions below.

Cabinet Selling Price

$ 82

Time to Make One Cabinet

45 minutes

Labor Cost per Hour

$ 20

Raw material Cost per Cabinet

$ 27

Fixed Costs

$ 4000

Desired Profit per Month

$ 4000

What is your Contribution Margin? $Blank 1 (two decimals)

Cabinets to be made per month to Break Even? Blank 2 ~ cabinets\month

Monthly Revenue needed to reach your desired profit? $Blank 3 (two decimals)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Multinational Business Finance

Authors: David K. Eiteman, Arthur I. Stonehill, Michael H. Moffett

14th edition

133879879, 978-0133879872

More Books

Students also viewed these Finance questions